Sugar Mill II in Addis, Louisiana is minutes from downtown Baton Rouge
and provides easy access to I-10. The upscale, gated, residential
community includes 80 one and two bedroom units each containing full
kitchen and full size washer and dryer. The facilities include a club
room with full kitchen and covered patio, business center, fitness
center, and a resort style pool. The property began lease-up in May 2016
and was stabilized by September that same year.

“Sugar Mill II is an outstanding addition to our Southern Properties
Capital portfolio,” commented Bradley Kyles, Abode’s EVP of Multi-Family
Residential Operations. “With a strong school system, growing
population, and close proximity to the state capital, Addis, Louisiana
exemplifies the growing towns in which we aim to acquire and develop new
assets.”

Southern Properties Capital operates primarily in Texas and specializes
in Class A multifamily assets in emerging markets throughout the
Southern United States, corresponding with both sustainable and viable
economic growth activity. The issuing entity is backed by over 3,000
multi-family units (out of a total of approximately 8,000 owned and
operated by TCI), as well as over 1.5 million square feet of office
space in Texas. The company has already used funds to acquire additional
multi-family assets within its strategic footprint, and expects
significant expansion by continuing to utilize the Israeli bond platform.

Abode
Properties is a subsidiary of Transcontinental
Realty Investors Inc., (NYSE: TCI), a Dallas-based real estate
investment company. Abode’s investment and strategic focus is to
acquire, develop, and operate a portfolio of desirable multifamily
residential properties, while capitalizing on our ability to obtain long
term and static debt structures. The portfolio stands to benefit from
historically established, proven, and successful operational practices,
seasoned on-site management, and an experienced leadership team with
forward thinking capabilities in order to realize maximum cash flows and
consistent returns, while maintaining unequaled resident and customer
service. We are disciplined and prudent allocators of capital and we
will continue growing our geographically diverse portfolio from the
Southwest to the Southeast. These markets are geographically located in
areas of the country that correspond with both sustainable and viable
economic growth activity.

Transcontinental
Realty Investors(www.transconrealty-invest.com)
maintains a strong emphasis on creating greater shareholder value
through acquisition, financing, operation, developing, and sale of real
estate across every geographic region in the United States. A New York
Stock Exchange company, Transcontinental is traded under the symbol
"TCI". Transcontinental produces revenue through the professional
management of apartments, office buildings, warehouses, and retail
centers that are "undervalued" or "underperforming" at the time of
acquisition. Value is added under Transcontinental ownership, and the
properties are repositioned into higher classifications through physical
improvements and improved management. Transcontinental also develops new
properties, such as luxury apartment homes principally on land it owns
or acquires.